Get IRS Instructions For Forms 1099-SA And 5498-SA 2022-2024

The trustee of your HSA, Archer MSA, or MA MSA may provide other information about your account on this form. Note: Don't attach Form 5498-SA to your income tax return. Instead, keep it for your records.

Open (continue) your return in TurboTax, if you don't already have it open. Inside your program, search for 1099-SA; Select Jump To 1099-SA. This will take you to the Tell us about the health-related accounts you had in 2021 screen.

The amount in Box 3 on your 1099-SA will appear as “other income” on your 1040 tax form. If you use software to complete your return, it should populate the forms automatically.

No. You aren't required to do anything with Form 5498 because it's for informational purposes only. Please be sure to keep this form for your records as you'll need this information to calculate your taxable income when you decide to take distributions from your IRA.

Do I need both Form 1099-SA and Form 5498-SA? Trustees are required to provide participants with both Form 1099-SA and 5498-SA. Form 1099-SA is of particular importance because participants use information from that document to report any distributions they received from an HSA, Archer MSA or MA MSA to the IRS.

Information from Form 1099-SA is reported on either Form 8853 or Form 8889. Unused distributions from an HSA must be reported as income. You can repay a mistaken distribution from a health savings account no later than April 15.

As mentioned, the distributions listed on the 1099-SA are for medical expenses, which are tax-free. However, if HSA or MSA funds are used for non-qualified expenses, then they are taxed at a rate of 20 percent.

You'll usually report this income on Form 1040, Line 21, as Other income. This is taxable income not subject to self-employment tax. When the income reported on Form 1099-MISC Box 3 is from your trade or business, report it with your business income.